diff --git a/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/organizations.py b/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/organizations.py
index c6afb6d20..7a03cb7be 100644
--- a/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/organizations.py
+++ b/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/organizations.py
@@ -479,23 +479,37 @@ def get_ou_id(self, ou_path, parent_ou_id=None):
             parent_ou_id = self.root_id
 
         # Parse ou_path and find the ID
-        ou_hierarchy = ou_path.strip("/").split("/")
-        hierarchy_index = 0
+        ou_path_as_list = ou_path.strip('/').split('/')
 
-        while hierarchy_index < len(ou_hierarchy):
+        for ou in ou_path_as_list:
             org_units = self.list_organizational_units_for_parent(parent_ou_id)
-            for ou in org_units:
-                if ou["Name"] == ou_hierarchy[hierarchy_index]:
-                    parent_ou_id = ou["Id"]
-                    hierarchy_index += 1
+
+            for org_unit in org_units:
+                if org_unit["Name"] == ou:
+                    parent_ou_id = org_unit["Id"]
                     break
             else:
-                raise ValueError(
-                    f"Could not find ou with name {ou_hierarchy} in OU list {org_units}.",
-                )
+                LOGGER.info(
+                    'No OU found with name {%s} and parent {%s}, will create.', ou, parent_ou_id
+                    )
+                new_ou = self.create_ou(parent_ou_id, ou)
+                parent_ou_id = new_ou['OrganizationalUnit']['Id']
 
         return parent_ou_id
 
+    def create_ou(self, parent_ou_id, name):
+        try:
+            ou = self.client.create_organizational_unit(
+                ParentId=parent_ou_id,
+                Name=name
+                )
+        except ClientError as client_err:
+            message = f'Failed to create OU called {name}, with parent {parent_ou_id}'
+            LOGGER.exception(message, client_err)
+            raise OrganizationsException(message) from client_err
+        return ou
+
+
     def move_account(self, account_id, ou_path):
         self.root_id = self.get_ou_root_id()
         ou_id = self.get_ou_id(ou_path)
diff --git a/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/stubs/stub_organizations.py b/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/stubs/stub_organizations.py
index 371941cb6..e2508e004 100644
--- a/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/stubs/stub_organizations.py
+++ b/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/stubs/stub_organizations.py
@@ -62,3 +62,24 @@
         # adding dependency on datetime
     }
 }
+
+create_organizational_unit = {
+    'OrganizationalUnit': {
+        'Id': 'new_ou_id',
+        'Arn': 'new_ou_arn',
+        'Name': 'new_ou_name'
+    }
+}
+
+list_organizational_units_for_parent = [
+    {
+    'OrganizationalUnits': [
+        {
+            'Id': 'existing_id',
+            'Arn': 'some_ou_arn',
+            'Name': 'existing'
+        },
+    ],
+    'NextToken': 'string'
+    }
+]
diff --git a/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/test_organizations.py b/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/test_organizations.py
index 65dc72b83..ba775b0fd 100644
--- a/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/test_organizations.py
+++ b/src/lambda_codebase/initial_commit/bootstrap_repository/adf-build/shared/python/tests/test_organizations.py
@@ -7,12 +7,13 @@
 import os
 import boto3
 
-from pytest import fixture
+from pytest import fixture, raises
 from stubs import stub_organizations
 from mock import Mock, patch
 from cache import Cache
 from organizations import Organizations, OrganizationsException
 from botocore.stub import Stubber
+from botocore.exceptions import ClientError
 import unittest
 
 
@@ -21,6 +22,32 @@ def cls():
     return Organizations(boto3, "123456789012")
 
 
+def test_create_ou(cls):
+    cls.client = Mock()
+    cls.client.create_organizational_unit.return_value = stub_organizations.create_organizational_unit
+
+    ou = cls.create_ou("some_parent_id", "some_ou_name")
+
+    assert ou['OrganizationalUnit']["Id"] == "new_ou_id"
+    assert ou['OrganizationalUnit']["Name"] == "new_ou_name"
+
+def test_create_ou_throws_client_error(cls):
+    cls.client = Mock()
+    cls.client.create_organizational_unit.side_effect = ClientError(operation_name='test', error_response={'Error': {'Code': 'Test', 'Message': 'Test Message'}})
+    with raises(OrganizationsException): 
+        cls.create_ou("some_parent_id", "some_ou_name")
+
+
+def test_get_ou_id_can_create_ou_one_layer(cls):
+    cls.client = Mock()
+    cls.client.create_organizational_unit.return_value = stub_organizations.create_organizational_unit
+    cls.client.get_paginator("list_organizational_units_for_parent").paginate.return_value = stub_organizations.list_organizational_units_for_parent
+
+    ou_id = cls.get_ou_id("/existing/new")
+
+    assert ou_id == "new_ou_id"
+
+
 def test_get_parent_info(cls):
     cls.client = Mock()
     cls.client.list_parents.return_value = stub_organizations.list_parents
diff --git a/src/template.yml b/src/template.yml
index f772b75dd..fcbab4c96 100644
--- a/src/template.yml
+++ b/src/template.yml
@@ -1256,6 +1256,7 @@ Resources:
               - "logs:PutLogEvents"
               - "organizations:AttachPolicy"
               - "organizations:CreatePolicy"
+              - "organizations:CreateOrganizationalUnit"
               - "organizations:DeletePolicy"
               - "organizations:DescribeAccount"
               - "organizations:DescribeOrganization"